Deputy minister Phan The Rue said the ministry would instead set up a national food reserve so that even during years when natural disasters affect the crop export curbs need not be applied.

Last year, following several floods and typhoons, the government ordered in May that exports should be limited to 3.8 million tonnes. But with normal harvests despite the calamities, it lifted the ban in August and rice exports finally ended up at 5.2 million tonnes.

The government expects exports to again top 5 million tonnes this year for a turnover of US $1.4 billion.

The ministry said last year both farmers and exporters got good prices for rice.